During Sunday opening session, the Egyptian Exchange (EGX) has posted early gains of EGP 199 million as the capital market has amounted to EGP 396.372 million, according to data compiled by Amwal Al Ghad at 11:01 a.m. Cairo time (09:01 GMT). EGX indices opened in green except for the main index which solely went declined. The main index, EGX30 fell by 0.20% to hit 5727.36 p. EGX20 rose by 0.12% to reach 6674.29 p. Meanwhile, the mid- and small-cap index, the EGX70 went up by 0.57% to hit 537.05 pts. Price index EGX100 inched higher by 0.36% to reach 890.23 p. Traded volume reached 7.868 million securities worth EGP 29.693 million, exchanged through 2.110 thousand transactions. This was after trading in 97 listed securities; 29 declined 38 advanced while 30 keeping their previous levels. EGX's early gains were backed by Arabs and non-Arab Foreigners' buying deals. Arabs and non-Arab Foreigners were net buyers seizing 3.1% and 3.30% respectively, of the total markets, with a net equity of EGP 1.256 million and EGP 951.433 thousand excluding the deals. On the other hand, Egyptians were net sellers seizing 93.59% of the total markets, with a net equity of EGP 2.207 million excluding the deals. Leading Shares: EGX's leading shares witnessed unsteady performance during early trading. Citadel Capital: Citadel Capital (CCAP.CA)'s stock soared by 4.57% to reach EGP 4.35. EFG-Hermes: EFG-Hermes Holding (HRHO.CA) surged by 1.62% to hit EGP 11.90. Egypt's financial regulator said on Wednesday it would decide next week on whether to approve plans by Egypt's biggest investment bank EFG-Hermes (HRHO.CA) to tie up with Qatar's QInvest. EFG-Hermes and QInvest sealed the agreement in May to hive off EFG-Hermes's investment banking business in a joint venture in which state-backed QInvest would hold a 60 percent stake. "We will take our decision next week," Ashraf El-Sharkawy, chairman of the Egyptian Financial Supervisory Authority (EFSA), told Reuters, when asked if EFSA would approve the plan by EFG-Hermes and Qinvest for an investment bank. He did not give further details. In September, Shareholders in EFG-Hermes reaffirmed their approval of the tie-up after demands by the regulator for more details were met. EFSA had rejected decisions approved by shareholders in June because the firm had not clarified points including minority rights. Orascom Telecom Holding: Orascom Telecom Holding (OTH) (ORTE.CA) inched higher by 1.11% to reach EGP 3.63. Orascom Construction Industries: Orascom Construction Industries – OCI (OCIC.CA)'s stock pushed up by 0.58% to hit EGP 279.00. It is worth noting that the trading was resumed for the stock last Wednesday shortly after OCI has sent clarifications to the EGX. Commenting on the news published by Amwal Al Ghad, Omar Derwaza - Head of Investor Relations at Orascom Construction Industries (OCI) - has asserted that the Egyptian Tax Authority has called for holding a meeting with the Group officials without mentioning the main reasons behind that request. Derwaza expected that the meeting will discuss what the Egyptian President Mohamed Morsi had said during October war victory celebrations regarding the five EGX-listed companies which are accused of evading to pay the taxes through the last years. The EGX Chairman Mohamed Omran said early Wednesday the bourse has suspended trading in Orascom Construction Industries (OCI) – (OCIC.CA)'s stocks awaiting the firm's comments on the news published by Amwal Al Ghad regarding its EGP 14 billion tax fraud. Egyptian Tax Authority sources told Amwal Al Ghad that the authority had called the Egyptian tycoon Onsi Sawiris alongside his son Nassif Sawiris to start interrogations regarding Orascom Construction Industries (OCI) – (OCIC.CA)'s evading to pay EGP 14 billion tax dues to the state. The Egyptian Tax Authority has decided to call the Egyptian tycoon Onsi Sawiris and his son Nassif Sawiris to start interrogations regarding Orascom Construction Industries (OCI) – (OCIC.CA)'s evading to pay EGP 14 billion tax dues to the state. President Morsi stated Saturday that Egypt is owed about EGP 100 billion by five companies adding that the state is in talks with these entities to have its dues. The President clarified that some of these dues arose from financial irregularities or tax evasions. The sources further told Amwal Al Ghad that the selling deal of OCI's Orascom Building Materials Holding to French Lafarge in 2008 has been reviewed referring that the deal has violated the law leading to tax fraud. It is worth mentioning that OCI sold in 2007 its entire stake in Orascom Building Materials Holding (OBMH) to French Lafarge at $ 12.9 billion. The tax sources added that OCI had founded Orascom Building and had listed it in the EGX for a short while, transferring to it the Lafarge deal valued at EGP 71 billion. On the other hand, OCI noted on Monday that the capital gains from selling its entire stakes in the EGX-listed Orascom Building Materials Holding to Lafarge are tax exempt. Orascom Telecom Media & Technology Holding: Orascom Telecom Media & Technology Holding (OTMT.CA) maintained with no change at EGP 0.54.
